Upload
wilfred-flowers
View
219
Download
2
Tags:
Embed Size (px)
Citation preview
Evercore Vertical Cloud SymposiumJune 12, 2014Evercore Vertical Cloud SymposiumJune 12, 2014
SS&C Technologies (NASDAQ:SSNC)SS&C Technologies (NASDAQ:SSNC)
Safe Harbor Statement
This presentation contains forward-looking statements, as defined by federal and state securities laws, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, expectations, intentions, projections, developments, future events, performance or products, underlying assumptions, and other statements which are other than statements of historical facts. In some cases, you can identify forward-looking statements by terminology such as ''may,'' ''will,'' ''should,'' “hope,'' "expects,'' ''intends,'' ''plans,'' ''anticipates,'' "contemplates," ''believes,'' ''estimates,'' ''predicts,'' ''projects,'' ''potential,'' ''continue,'' and other similar terminology or the negative of these terms. From time to time, we may publish or otherwise make available forward-looking statements of this nature. All such forward-looking statements, whether written or oral, and whether made by us or on our behalf, are expressly qualified by the cautionary statements described on this message including those set forth below. All statements contained in this presentation are made only as of the date of this presentation. In addition, except to the extent required by applicable securities laws, we undertake no obligation to update or revise any forward-looking statements to reflect events, circumstances, or new information after the date of the information or to reflect the occurrence or likelihood of unanticipated events, and we disclaim any such obligation. Forward-looking statements are only predictions that relate to future events or our future performance and are subject to known and unknown risks, uncertainties, assumptions, and other factors that may cause actual results, outcomes, levels of activity, performance, developments, or achievements to be materially different from any future results, outcomes, levels of activity, performance, developments, or achievements expressed, anticipated, or implied by these forward-looking statements. Other factors that could affect actual results, outcomes, levels of activity, performance, developments or achievements can be found under the heading “Risk Factors” in SS&C Technologies Holdings, Inc.’s Form 10-K, filed February 27, 2014. As a result, we cannot guarantee future results, outcomes, levels of activity, performance, developments, or achievements, and there can be no assurance that our expectations, intentions, anticipations, beliefs, or projections will result or be achieved or accomplished.
2
2
Leading provider of mission-critical cloud-based software for financial services providers with a flexible, on-demand delivery model
About • Founded in 1986, 4,295 employees, 46 offices worldwide,
• NASDAQ: SSNC (since Q1 2010)
Clients, Revenues
• 6,900+ clients, $725.3 mil LTM adjusted revenue, 92% contractually recurring revenues,
• 41.3% LTM EBITDA margins
2014 Guidance
• Adjusted Revenue for 2014 of $757.0MM - $775.0MM
• Adjusted Net Income of $197.5MM - $206.8MM
SS&C Summary
4
Experienced management team with leading execution track record
SS&C is an attractive recurring revenue business with over 90% of revenues contractually recurring.
History of enhancing shareholder value via M&A.
SS&C professionals have extensive expertise, many of which hold CPAs, CAs, CFAs, and/or have advanced degrees.
Reasons to Invest in SS&C
5
FinancialsFinancials
SS&C Q1 Financial Highlights
Metric Q1 2014
Q1 2013
$ +/- % +/-
Adjusted Revenue ($mm) $185.8 $173.3 $12.5 7.2%
Annual Run Rate Basis ($mm) $683.6 $647.0 $36.6 5.7%
YTD Operating Cash Flow ($mm) $38.6 $20.6 $17.9 86.8%
Adjusted Operating Income ($mm) $72.6 $64.8 $7.9 12.1%
Adjusted Consolidated EBITDA ($mm) $76.2 $68.7 $7.5 10.9%
Adjusted EBITDA Margin 41.0% 39.6% 140bps 3.5%
Adjusted Diluted EPS $0.56 $0.45 $0.11 24.4%
7
SS&C Adjusted Revenue ($mm)
$271
$329
$371
$553
$713
8
CAGR 18.9%
$766 E
SS&C Adjusted Consolidated EBITDA ($mm)
9
$111
$136$152
$220
$292
CAGR 18.0%
$317 E*
*Analyst estimates
SS&C Adjusted Net Income v. Cash Flow ($mm)
10
Average Operating Cash Flow / Adj. Net Income = 118%
SS&C Adjusted Diluted EPS since 2010 IPO
11
CAGR 20.6%
SS&C Return on Equity
12*Annualized as of 3/31/14
Who Owns SS&C?
13
Institutional Owners % Owned
1. Fidelity Management & Research Co. 14.7%
2. T. Rowe Price Associates, Inc. 9.0%
3. Janus Capital Management LLC 8.9%
4. MSDC Management LP 5.4%
5. The Vanguard Group, Inc. 5.1%
SS&C Ownership
William C. Stone, Chairman and CEO 20.1%
Directors, Management, Employee Stock Options 6.0%
As of 3/31/13
Company OverviewCompany Overview
Global Operations – 46 offices, 70+ products and services
15
Experienced Management Team
WILLIAM C. STONE Chairman & Chief Executive Officer
NORMAND A. BOULANGER Chief Operating Officer
PATRICK J. PEDONTI Chief Financial Officer
PAUL G. IGOE General Counsel
RAHUL KANWAR Managing Director of Alternative Assets
Average 20+ Years of Experience
16
What We do
17
SS&C SolutionsSoftware | Outsource | SaaS
Portfolio Management ∙ Reconciliation ∙ Valuation
Performance and Attribution ∙ Reporting Risk Management ∙ Regulatory Solutions
Investor Services ∙ Training
Hedge Funds
Private Equity
Asset Managers
Banks
Insurance
Real Estate
Front to Back Office Solutions
18
Front and Back seamless solution
Enterprise Scalability Secure, world-class data centers 24/7
Comprehensive Security Compliance and auditing
Opportunities and StrategyOpportunities and Strategy
20
The SS&C Solution
Fund Administration / Operations
World Class fund administration and operationsis built on world class technology.
SS&C is a leader in both.
Financial Technology
21
SS&C’s Market Drivers
Globalizing wealth Information anytime, anywhere
Increasing regulatory burdens
Cloud capabilities
22
SS&C Value Proposition
APPLICATIONS
SOFTWARE ENABLED SERVICES
ANALYTICS
MOBILE
CLOUD
• Advanced Capabilities
• Highly experienced professionals
• Unmatched customer service
23
SS&C Investment Intelligence
• Cloud Based mobility platform that spans front-to-back office
• Anywhere, anytime access to key information for clients at all levels of the organization
• Responsive design, data on any device when and where you need it
The web and mobility access will become an entry point in the organization and a window into comprehensive financial data for portfolios.
24
Derivatives LoansReal Estate
Risk PM Data Warehouse
Systems Data
Data Integration
Securities
Evolution: SS&C Investment Intelligence
Web AccessiPhone / iPad Apps / Voice Recognition
Ink Chat
Manage assets.
SS&C Cloud stores it
And pushes it to your devices.
SS&C Investment IntelligenceAnything, Anytime, Anywhere
25
26
$mm
*Adjusted revenue
20 years of Revenue Growth
CAGR 26%
27
20 years of Cash Flow Growth
$mm
*Operating cash flow
CAGR 32%
Growth Opportunities
Quarterly Revenue ($mm)
28
2009 2010 2011 2012 2013 2014
1. Continue to sell into core markets (asset management, hedge funds, and institutions)
2. Increase average selling price
3. Continue focus on new products and technology
4. Continue strong track record of strategic acquisitions
1. Continue to sell into core markets (asset management, hedge funds, and institutions)
2. Increase average selling price
3. Continue focus on new products and technology
4. Continue strong track record of strategic acquisitions
29
CHALKE, INC. SHEPRO BRAUN
QUANTRA
THE SAVID GROUP
HEDGEWARE, INC. DIGITAL VISIONSREAL-TIME USA
DBC
OMR SYSTEMS
NEOVISION HYPERSYSTEMS
ZOOLOGIC NORTHPORTMICRODESIGN
SERVICES
MAXIMIS
TRADEWARE
THENEXTROUND, INC.
GELLER INVESTMENT
PARTNERSHIP SERVICES
1995 1997 1998 1999 2001 2002 2004
2006 2007 2008 2009 2010
PORTIA
GLOBEOP
2012
Investing in Innovation
EISNERFAST
FMC
2005
PRIME MANAGEMENT
2013
SS&C has completed 39 acquisitions to date.
Software Licenses
Professional Services
Software-Enabled
Services
Maintenance
Recurring Revenues
Visible, Stable, and Diversified Revenues
LTM 3/31/14 Business DistributionLTM 3/31/14 Business Distribution
30
Canada
United States
OtherAPAC
EMEA
Visible, Stable, and Diversified Revenues
31
LTM 3/31/14 Geographic DistributionLTM 3/31/14 Geographic Distribution
Competition and ClientsCompetition and Clients
Who are our Competitors?
Fund Administration / Investment Operations Outsourcing
Investment Management
Software
33
Institutional
Alternative Investments
Treasury, Banks & Custody
Asset Management
Other
Diverse, Blue Chip Financial Services Clients
34
35
Industry Awards and Honors
Best Administration
Technology
2011
Best Administration
Technology
2011
Best Administrator for Managed
Accounts
2010
Best Administrator for Managed
Accounts
2010
Best North American
Administrator
2011
Best North American
Administrator
2011
Best AdministratorOver $30bn
Fund of Funds
2011
Best AdministratorOver $30bn
Fund of Funds
2011
96 Best-in-Class Awards
2011
96 Best-in-Class Awards
2011
20132013
20122012
82 Best-in-Class Awards
2012
82 Best-in-Class Awards
2012
Best Administratorfor Managed
Accounts
2011
Best Administratorfor Managed
Accounts
2011
20112011
Best North American
Administrator
2013
Best North American
Administrator
2013
59 Best-in-Class Awards
2013
59 Best-in-Class Awards
2013
Hedge Fund Administrator
of the Year
2010
Hedge Fund Administrator
of the Year
2010
Best Administration
Technology
2012
Best Administration
Technology
2012
Best Administratorfor Managed
Accounts
2012
Best Administratorfor Managed
Accounts
2012
Best AdministratorOver $30bn
Fund of Funds
2012
Best AdministratorOver $30bn
Fund of Funds
2012
Best Administrator
Managed Accounts
2013
Best Administrator
Managed Accounts
2013
Best AdministratorMiddle Office
Services2013
Best AdministratorMiddle Office
Services2013
Best Fund Administrator
2010
Best Fund Administrator
2010
Best Outsourcing
Provider
2013
Best Outsourcing
Provider
2013
Leader in Innovation
2009
Leader in Innovation
2009
Private Equity42 Best-in-Class
Awards2013
Private Equity42 Best-in-Class
Awards2013
Best Administrator
Reporting Services
2014
Best Administrator
Reporting Services
2014
SS&C Technologies (NASDAQ:SSNC)SS&C Technologies (NASDAQ:SSNC)